Australia Sees Grimmer Economic Outlook as Debt Row Simmers

By

Rob Taylor

Nov. 20, 2013 3:22 a.m. ET

CANBERRA—Australia's Treasury painted a grimmer growth outlook for the US$1.5 trillion economy, as the new conservative government searched for support to end a political impasse over the country's debt ceiling.

Australia's Treasury Secretary Martin Parkinson said it would be "prudent" to raise the legislated debt cap from 300 billion Australian dollars (US$282 billion) to A$500 billion, given a worsening economic outlook as...